All about Breanna

Dedication To Breanna Davis…who I have two hours out of the day! Once upon a time there was a girl named Breanna. She didn’t like school so much! Actually she didn’t mind school, she just doesn’t like homework!!!

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edaton To Breanna Davis…who I have two hours out of the day! Breanna. She didn’t like school so much! Actually she didn’t mind school, she just doesn’t like homework!!! She does like a few things though…. To Run…. To Sing….

Dedication To Breanna Davis…who I have two hours out of the day! Once upon a time there was a girl named Breanna. She didn’t like school so much! Actually she didn’t mind school, she just doesn’t like homework!!!

UNIT FOUR Good Debt, Bad Debt: Using Credit Wisely 42 What Is Credit? Credit can be a valuable addition to your financial tool box if you use it carefully and sensibly. Credit means someone is willing to loan you money—called principal —in exchange for your promise to repay it, usually with interest. Interest is the amount you pay to use someone else’s money. So the higher the interest rate, the higher the total amount you pay to buy something on credit. The best part about credit is that it lets you buy something—like a car or a year of college tuition— you couldn’t otherwise afford if you had to pay for it all at once. You get to buy the item now but pay for it over a period of time, usually with interest. But sometimes people use credit purely for convenience. They have the money but don’t want to carry cash with them. Or they simply decide they want something NOW, don’t care if they have the money, and use credit for immediate satisfaction, which isn’t a smart use. What Do You Think? 1 Nearly ____% of teens owe money to either a person or company, with an average debt of $____. 2 About ____% of teens ages 16–18 already have more than $1,000 in debt. 3 ____% of teens say they understand how credit card interest and fees work. 4 ____% of teens say they know how to establish good credit. ? Source: “Teens and Money,” Charles Schwab Foundation, April 2006